Four Hotel Strategy Myths Holding Your Property Back—and How to Overcome Them

At the heart of every truly successful hotel lies something that often goes overlooked: a strong strategic culture. And yet, we often build decisions, systems and processes on preconceived ideas, myths or half-truths that, while well intentioned, take us away from what truly matters. As in other industries, hospitality also faces narratives that sound convincing but do not stand up to closer scrutiny. How often have we accepted a reactive action plan as “strategic”, or postponed planning because “better times will come”? It is time to question some of those assumptions.

One of the most deeply rooted myths in hospitality is that strategy must come “from the top”. How often do we hear phrases such as “we are waiting for guidance from the group”, “we follow the head office marketing plan” or “management decides that”? This top-down view ignores a fundamental reality: every department and every operational team has its own resources, challenges and opportunities, and therefore needs its own strategy—aligned, certainly, but not subordinate. When strategy becomes something delegated to others, teams lose initiative, become demotivated, and genuine operational focus is lost. Strategy cannot be an external doctrine: it must be alive in the day-to-day work.

Another common myth is believing that strategy is an annual exercise, a kind of “planning ritual” carried out once a year and then filed away. According to one study, fewer than 17% of hospitality leaders review their strategy more than four times a year. Yet data show that the most successful hotels continually adjust their strategic plans based on guest behaviour, pick-up, the economic climate and actual business data. Leaving strategy until December is like trying to correct a ship’s course after it has passed the iceberg.

And, of course, there is another recurring mistake: assuming that “execution is what matters”. This idea suggests that strong operations solve everything, overlooking the fact that without clear strategic direction, even the most flawless execution can lead to failure. A Harvard study analysing 750 business failures concluded that the number-one cause was the wrong strategy, not poor execution​. You may have the best driver and the fastest car, but if you are heading straight for a cliff, driving skill matters little.

Strategic Myths in Hospitality We Must Overcome

• "Strategy comes from senior management or the group"
  False. Every team—front office, housekeeping, F&B, revenue—must develop its own strategy, aligned with overall objectives but adapted to its own resources and realities. True competitive advantage is born on the ground, not in a committee PowerPoint presentation.

• "Strategy is reviewed once a year"
  Insufficient. The most competitive hotels conduct a monthly “strategic tune-up”, reviewing KPIs, resources and opportunities. A two-hour session each month can make the difference between being in control and drifting aimlessly.

• "Execution beats strategy"
  Inaccurate. It is not about choosing between good execution and good strategy. You need both. As Meg Whitman, former CEO of eBay, said: “Imperfect execution of the right strategy can work; perfect execution of the wrong strategy never will”.

• "Being better than the competition is enough"
  Limiting. “Better” is subjective. What matters is being different. If you compete to be faster, cheaper or more attractive than everyone else, you are doomed to competitive convergence. But if you define your unique value proposition—for example, “the only pet-friendly hotel with a vegan menu and rooftop yoga”—you can create blue oceans where competition simply does not exist​.

• "Strategy is marketing’s responsibility"
  Reductionist. If marketing is the only department talking about strategy, then the hotel is being steered by a single helm. Strategy must be cross-functional: revenue, HR, housekeeping, maintenance and the kitchen must also have a clear compass.

How can you dismantle these myths in your hotel?

1. Run strategic thinking workshops by department.
   Have each team identify its unique “value proposition”, key resources and constraints.

2. Implement a monthly "strategy tune-up".
   A focused 90-minute review to assess whether what was planned is being executed and whether the strategic assumptions remain valid.

3. Define genuine strategic KPIs, not just operational ones.
   What percentage of the rooms you sold this month was driven by your differentiated value proposition? What proportion of your guests say in their reviews that they chose you because of something unique?

4. Constantly challenge conventional wisdom.
   When someone says, “this is how it has always been done”, raise an alert: you may be facing a myth.

5. Encourage strategic dissent.
   Allow someone in meetings to take on the role of “devil’s advocate”, whose mission is to challenge what everyone takes for granted.

At the end of the day, strategy is not about doing more, but about doing what makes sense better. In hospitality, where emotion and human connection carry decisive weight in the perception of value, a clear strategy not only guides decisions but also protects the soul of service. Every action must answer a why that is consistent with what we promise as a brand, what our guests expect and what our teams can deliver.

In an environment where improvisation is often disguised as agility, thinking strategically is also an act of responsibility. It is not a matter of intellectual sophistication, but of commitment to purpose. A hotel that updates its strategy as frequently as it reviews its operating costs demonstrates that it understands the business is not managed through numbers alone, but through meaning. In this context, strategy becomes a living, cross-functional practice connected to operational reality.

That is why fostering a culture of strategic thinking at every level of the hotel is a way to take better care of our guests, empower our teams and safeguard the future of the project. It is also a way to break free from inherited myths and forge authentic paths of our own, enabling our hotels not merely to operate, but to transcend. Because in this industry, when strategy becomes experience, the guest feels it, values it… and returns.